Australia based Macquarie Infrastructure Debt Investment Solutions (MIDIS) has announced its first transaction in the data centre sector, supporting Vantage Data Centers, a leading global provider of hyperscale data centre campuses, in its acquisition of Next Generation Data, Europe’s largest data centre campus.
Next Generation Data is a 180 MW data centre campus located in Newport, Wales. The campus offers wholesale out-of-town data centre space for some of the world’s largest companies via an existing 72 MW facility and 108 MW of expansion capacity. Vantage Data Centers acquired the facility from its founders and InfraVia in July 2020 as part of an ongoing strategic expansion across Europe.
MIDIS was one of the largest participants in Vantage Data Centers’ £320 million debt financing package arranged by Natixis, providing £73 million of the debt facilities to support the acquisition and future expansion of the campus. The investment, which was made on behalf of UK, European, and Asian pension fund and insurance clients, represents MIDIS’ continued strong appetite to finance high quality assets in the growing digital infrastructure sector.
Tom van Rijsewijk, Managing Director, MIDIS, said: “Data centres play a key role in supporting the world’s fast-growing digital economy. We see a growing role for MIDIS in the sector by partnering with leading sponsors to meet the rising demand for connectivity and exponential data growth expected globally over the years ahead. We are pleased to support Vantage’s European growth plans, and with the partnership and unmatched operational expertise of Digital Colony, we are confident this capital will enable Vantage to deliver hyperscale capacity to customers globally.”
Jon Mauck, Managing Director, Digital Colony, said: “This investment and the continued support of MIDIS, further validates Vantage Europe’s growth strategy and, is a strong endorsement of the numerous benefits the Next Generation Data acquisition provides in the region. We look forward to continuing to support Vantage, one of the premier, global hyperscale data centre platforms, as it continues to expand its footprint to meet the growing requirements of its customers.”
Digital infrastructure assets such as data centres and fibre networks represent an increasingly attractive sector for MIDIS, offering its institutional clients exposure to assets with strong visibility on cashflows and resilience to economic cycles, typically underpinned by long-term contracts with credit-worthy customers. Digital infrastructure assets also offer additional portfolio diversification benefits to investors whilst providing an essential service to the communities they serve.